How To Invest A Windfall
December 23, 2012 Leave a comment
Should You Buy Close-Ended Mutual Funds?
July 18, 2011 Leave a comment
If you ever hear a spiel that goes something like this:Staying invested in the market for the long term ,through various cycles ensures that investors get rich.Unfortunately at the first sign of trouble most mutual investors run.Then the fund house has redemption problems and long term investors like you pay for the weakness of these short term investors.But if you go for XYZ scheme,there is a lock-in of n years so no matter what happens investors can’t flee easily,so ABC wise fund manager can work his magic and give you extraordinary returns.And BTW this fund is now floating its NFO.If you delay you can’t benefit from this good scheme for n more years-Be skeptical.Very skeptical.This salesperson might just stick you into a dud investment you can’t exit easily. Read more of this post
Smart Things To Do When The Yield Curve is Inverted
April 10, 2011 3 Comments
1. Banks normally come up with special term deposits with high interest rates.Now is a great time to book some fixed deposits.
2.Newly issued bonds tend to have higher coupon rates or deeper discounts.Now might be a good time to add some to your portfolio.
3.Older long term bonds you might have been coveting for a while might be available cheaper or at deeper discounts now.Maybe you should buy some now.
4.Stock markets might not be so buoyant now so investing short-term funds in bank term deposits which are offering equity like returns is a good idea.
5.Good stocks that you plan on holding for the long-term might be available cheaper.Why not buy them now?
6.Tax-saving FDs are likely to be very good options now.Do the math to check your pre-tax returns to see just how good they are. Read more of this post
wealthymatters 